E.ON has become the first of Britain’s Big Six energy firms to cut its household bills following pressure from the chancellor, as the price of oil continues to plummet.
The German-owned energy supplier has trimmed its gas prices by 3.5 per cent with immediate effect amid falling wholesale prices.
The cut, which reduces household gas bills by about £24 a year, will put pressure on other utility companies to follow suit.
George Osborne intervened last week saying it was “vital” the falling oil price was “passed on to families at petrol pumps, through utility bills and air fares”.
“Given the possibility of a price freeze, we are undoubtedly taking a risk today, but we always put our customers first,” said Tony Cocker, chief executive of